When we announced the Sumitomo Rubber Group’s Mid-Term Plan in February 2020, we identified “Promoting ESG Management” as one of the key Value Drivers for achieving our goals. Accordingly, we have pledged to redouble our efforts to work toward the solution of various environmental and social issues throughout our business activities so that we may contribute to the realization of a sustainable society.
In light of radically evolving conditions associated with social issues, including the growing repercussions of climate change, we came to the conclusion that a new policy, one based on long-term perspectives that look to the world of 2050 and beyond, would be essential to our efforts to ensure the sustained growth and development of both our Group and society as a whole. We formulated the Long-Term Sustainability Policy: “Driving Our Future Initiatives 2050” in August 2021 and are working towards the targets.
Based on the Group’s material issues reviewed in October 2024, we plan to update our “Driving Our Future Initiatives” during 2025. To realize our corporate philosophy structure, “Our Philosophy,” we will work to identify material issues, determine long-term sustainability targets and business strategies, and implement measures in a narrative format.
“Driving Our Future Initiatives 2050” Targets and Results for 2024
Target Themes
Action Plans
Targets (Target Year)
2024 Targets
2024 Results
2025 Targets
Related Material Issues
Related SDGs
Environment
Protecting the Global Environment & Safety
Product Innovation
Realizing the SMART TYRE CONCEPT
Concept Tire Completion (2029), Equip All New Tires with SMART TYRE CONCEPT Technology (2030)
Release of Next-Generation Tires Equipped with ACTIVE TREAD Technologies in October 2024
Launch of SENSING CORE in 2024
Started Sales of SYNCHRO WEATHER Equipped with ACTIVE TREAD Technology
Started Sales of SENSING CORE to Overseas Automobile Manufacturers
Starting Sales of SENSING CORE in Japan in 2025
Innovation to Address Social Issues
Establishing a Sustainable Product Certification System
Securing a Standard Certification Rate of 100%, including a Gold Certification Rate of 30% (2030)
Promoting Further Development of Product Planning toward 2030
Tires: Standard 59%, Gold 13%
Sports: Standard 29%, Gold 39%
Industrial Products: Standard 21%
Promoting Further Development of Product Planning toward 2030
Circular Economy
Carbon Neutrality
Carbon Neutrality (Scope 1 and 2)
55% Reduction in Emissions Compared to 2017 Levels (2030), Full Carbon Neutrality (2050)
Implemented Initiatives toward a 55% Reduction Compared to 2017 Base Year (2030) and Carbon Neutrality (2050)
Acquisition of SBT (Science Based Targets) Certification
Implementing Initiatives toward a 55% Reduction Compared to 2017 Base Year (2030) and Carbon Neutrality (2050)
Acquisition of SBT (Science Based Targets) Certification
Achieved a 34% Reduction Compared to 2019, and a 40% Reduction is Expected by 2025
Acquired SBT (Science Based Targets) Certification
Climate Change
Carbon Neutrality (Scope 3)
25% Reduction in Category 1 Emissions Compared to 2021 Levels and a 10% Reduction in Category 4 Emissions (2030)
Implementing Initiatives toward a 25% Reduction in Category 1 and a 10% Reduction in Category 4 Compared to 2021 Levels (2030)
Implemented Initiatives toward a 25% Reduction in Category 1 and a 10% Reduction in Category 4 Compared to 2021 Levels (2030)
Acquired the SBT Certification in Category 1
23% Reduction in Category 1 and a 3% Reduction in Category 4 Compared to 2021 Levels
Implementing Initiatives toward a 25% Reduction in Category 1 and a 10% Reduction in Category 4 Compared to 2021 Levels (2030)
The Utilization of Hydrogen
Introducing Hydrogen Production Equipment for Use in Hydrogen Boilers (2025)
Addressing Issues with Continuous Operation of Hydrogen Boilers
Completed Demonstration Testing of Hydrogen Boilers in March and Will Continue to Operate Them as Power Equipment
Starting to Produce Hydrogen through Water Electrolysis
Continuing Stable Operation of Hydrogen Boilers
Resource Circulation/Sustainable Raw Materials
Increasing the Usage Rate of Sustainable Raw Materials
Sustainable Raw Material Content Targets by Product Line
Tires: 40% (2030), 100% (2050)
Sports: 20% of Practice Golf Balls (2030), 100% of All Golf Balls (2050)、Launch of Tennis Balls with 100% Sustainable Raw Materials (2030), 100% of All Tennis Balls (2050)
Continuing to Develop Formulations Using Sustainable Raw Materials to Achieve the 2030 Target
Continuing Discussions to Raise the Recycling Rate
Continuing Discussions to Identify Candidates for Alternative Raw Materials
Discussing Facility Upgrades while Planning Measures to Introduce Novel Types of Raw Materials
Increasing the Ratio of Sustainable Raw Materials toward the 2030 Target
Promoted Initiatives to Improve Recycling Rates
Continued Discussions to Identify Candidates for Alternative Raw Materials
Formulated Plans for Facility Upgrades to Introduce Novel Types of Raw Materials
Started Initiatives for Resource Circulation of Carbon Black for Tires (Collaboration)
Evaluated Processes to Increase the Ratio of Sustainable Raw Materials in Golf Balls
Continuing to Develop Formulations Using Sustainable Raw Materials
Continuing Initiatives to Improve Recycling Rates
Continuing Discussions to Identify Candidates for Alternative Raw Materials
Formulating and Implementing Plans for Facility Upgrades to Introduce Novel Types of Raw Materials
Circular Economy
Setting a New Target for Resource Circulation
40% Reduction in Plastic Used in Tire Labels, Packing Materials, Sales Promotion Tools, etc., Compared with 2019 Levels (2030)
Enhancing Initiatives to Reduce Plastic Used in Tire Labels
Continuing Initiatives to Eliminate Plastic Used in Tire Packaging Materials
Changing the Lids and Labels on Tennis Ball Packages to Paper and the Plastics Used in Those Packages to Recycled Plastics Overseas
Achieved a 34% Reduction Compared to 2019, and a 40% Reduction is Expected by 2025
Setting new targets for resource circulation
Water Resources
Reducing Water Usage
100% Recycled Water Usage at Bases of Operations in Areas with High Water Security Risk (2050)
Creating a Scenario for Achieving 100% Water Recycling at Bases with High Water Risk
Created Scenarios for Achieving 100% Water Recycling
Following Up on the Progress of Scenarios for Achieving 100% Water Recycling
Biodiversity
Supply Chain Management
Sustainable Natural Rubber (SNR) Policy
Raw Material Procurement in Line with the SNR Policy
Applied to Major Suppliers (2030), Applied to All Suppliers (2050)
Specifying Goals and Target Values for GPSNR KPIs, and Reflecting Them in the Mid-Term Plan
Strengthening Our Cooperative Relationships with Suppliers and Other Related Parties to Ensure That We Understand EU Requirements and Comply with EUDR
GPSNR: Participated in Discussions on Industry KPIs and Developed Response Plans for Four Key Items
EUDR: Conducted On-Site Audits to Strengthen Cooperation with NR Suppliers
GPSNR: Addressing the Four Key Areas (Supply Chain Mapping, Due Diligence, Risk Assessment, and Shared Investment) in the Plan
EUDR: Continuing Audits and Dialogue to Strengthen Relationships with Suppliers
Biodiversity, Human Rights
Social
Harmonious Coexistence with Society
Safety & Health
Thoroughgoing Occupational Safety & Health
Zero Serious Accidents
Continuing Communication Enhancement Activities
Continuing to Pursue Improvement in Safety Indicators (KPIs)
Conducted Dialogue between Management and Workers at the Production Floor
Continuing to Pursue Improvement in Safety Indicators (KPIs)
A Personal KPI of 6.0 Points or Higher
Human Rights
Promoting Health and Productivity Management
Strengthening the Occupational Health System & Cultivating Culture of Health
Strengthening Industrial Health Framework by Enhancing Skills of Health Specialists and Increasing Personnel
Cultivating a Culture of Health (Enhancing the Recognition of the Revised Version of Health & Productivity Management Declaration, Which Was Announced in 2022, among Employees)
Implemented Base of Operations-Wide Activities, Such as Knowledge Sharing at Health Meetings and Smoking Cessation Promotion Committees
Percentage of Persons with Recognition of the Health & Productivity Management Declaration: 53.9% (Health Awareness Survey Results)
Strengthening Industrial Health Framework by Enhancing Skills of Health Specialists and Increasing Personnel Cultivating a Culture of Health (Enhancing the Recognition of the Revised Version of Health & Productivity Management Declaration, Which Was Announced in 2022, among Employees)
Organizational Culture
Developing Leadership
Global Introduction of 360° Feedback (2030), Ongoing Executive Coaching (2030), 80% Positive Responses on Organizational Culture Survey (2030)
Implementing 360° Feedback and Leadership Seminars
Utilizing the Talent Management of 360° Feedback
Promoting the Organizational Culture Change Project, Including Addressing Issues Identified through Initiatives in 2023
Expanded 360° Feedback to Overseas Bases and Implemented Leadership Seminars
Promoted the Organizational Culture Change Project and Implemented Related Seminars
Positive Responses on Organizational Health Survey: Achieved 70.5% (Up 0.6% Year on Year)
Continuing 360° Feedback and Leadership Seminars
Transition to Engagement Survey
Conducting Organizational Culture Change Seminars at Factories
Diverse Talents
Respect for Diversity & Harmony
Promoting Diversity & Inclusion
Expansion of Unconscious Bias Training to All Levels (2030) (Non-Consolidated Basis)
Implementing Grade-Specific Unconscious Bias Training for Factory Employees
Response for Awareness of Unconscious Bias in Company-wide Questionnaire Company-wide: 80%, Technicians: 60%
Continuing to Distribute Ally Stickers, Continuing and Expanding Community Activities
Conducted Unconscious Bias Training for Candidates for Production Floor Supervisors at Factories
Conducted Surveys of Technicians on the Production Floor at Factories
Continued to Distribute Ally Stickers and Expanded Community Participation
Implementing Grade-Specific Unconscious Bias Training for Factory Employees
Continuing to Distribute Ally Stickers, Continuing and Expanding Community Activities
Maintain 100% rate of male employees taking parental leave
Promoting Women’s Empowerment
Ongoing Career Development Program for Women
Ratio of Female Managers: 7% (2025), 12% (2030) (Non-Consolidated Basis)
Expansion of the Mentoring System to Young Employees.
Development of a Training System to Increase the Ratio of Female Managers
Strengthening Top Commitment
Expansion of the Mentoring System to Young Employees.
Development of a Training System to Increase the Ratio of Female Managers
Reviewed D&I Promotion Structure
Ratio of Female Managers: 7% (Non-Consolidated, 2025)
Procurement of 95% of Tire Raw Materials by Purchase Value from Suppliers Who Score at Least 45 Points on the Standard Evaluation by 2030
* Planning the Phased Rollout of This Procurement Approach to Businesses Other Than the Tire Business.
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We Achieved Our 2030 Target by Procuring 97% of Purchases by Value from Suppliers Who Scored 45 Points or Higher
Maintain the 2030 targets achieved in 2024
Human Rights, Diverse Talents
Respect for Human Rights
Establishing a Human Rights Management System
Creation of Human Rights Management System and Due Diligence Process (2024), Establishment and Implementation of Human Rights Due Diligence (2025)
Identifying and Clarifying Human Rights Issues within the Group, and Developing a Human Rights Due Diligence Roadmap
Assessed Human Rights Risks and Identified Critical Human Rights Issues
Assessed Initiatives to Address Critical Human Rights Issues at the Manufacturing Bases within the Group
Assessed the Effectiveness of Complaint Handling Mechanisms at All Bases within the Group
Promoting Human Rights Due Diligence within the Group (Establishment of Systems, Educational Activities, and Holding of Subcommittee Meetings)
Disclosure of Information to External Parties (Publishing Human Rights Report)
Conducting Human Rights Due Diligence for Migrant Workers at Our Thai Base
Formulating Strategies for Promoting Human Rights Due Diligence in the Value Chain
Human Rights
Governance
Reinforcing the Foundations of Our Business
Enhancing Corporate Governance
Increasing the Diversity of Board Members
Establishment of a Framework for Improving the Effectiveness of the Board of Directors with an Eye Toward External Changes & Our Shifting Business Situation
Discussing the Structure of the Board and Committees That Will Enhance Our Corporate Value and Improving Its Diversity, Considering Societal Circumstances and the Results of Discussions with Stakeholders, Including Institutional Investors
Held Meetings with 12 Domestic and Overseas Institutional Investors
Expanded the Scope of Disclosure to Enhance Corporate Value
Conducting Dialogue with Stakeholders, Including Institutional Investors, as Appropriate
Establishing a Governance Structure Based on Discussions with Outside Officers
Governance
Improving the Effectiveness of Governance
Analyzing the Results of Third-Party Assessments to Enact Measures to Enhance Effectiveness
Continuing to Conduct the Board of Directors’ Effectiveness Survey
Using Questionnaires from External Organizations to Improve the Content of Our Surveys and Improving the Governance Level of the Board of Directors by Increasing the Time Allocated to Discussions on Important Topics, etc.
Conducted Interviews and Questionnaires by External Organizations
Identified Issues Such as the Time Allocated for Discussions and Follow-Up on Matters Submitted for Discussion
Continuing to Conduct the Board of Directors’ Effectiveness Survey
Implementing Measures to Address Issues to Improve the Governance Level
Thoroughgoing Compliance
Transparency with Respect to Taxes
Formulation of Tax Policy
Enactment of Global Tax Strategy (2025)
Continuing to Collect Information Regarding Taxation Systems in Each Country
Continuing to Review a Profit Margin Target in Consideration of External Conditions and the Overall Profit and Loss Situation of Our Group.
Developing Global Tax Strategies in Light of Trends in International Tax Rules
BEPS2.Decided on Control and Management Policies for Global Tax Compliance Based on BEPS 2.0 and Implemented Them at Overseas Subsidiaries
Promoting Global Tax Compliance Based on International Tax Rules and Implementing Appropriate Profit Margin Management
Instilling “Our Philosophy”
80% Supportive Response on “Our Philosophy” Entrenchment Survey (2030)
Promoting Various Initiatives to Embody “Our Philosophy”
Continuing Activities to Facilitate the Entrenchment among Factory Technicians
Held a Boost Seminar on “Our Philosophy and Human Rights”
Held Seminars to Penetrate and Develop a Sense of Ownership of “Our Philosophy” at the Grade-Specific Training
Rolled Out Penetration Seminar Videos for Factories
Holding Boost Seminars to Develop a Sense of Ownership of “Our Philosophy”
Holding Seminars to Penetrate and Develop a Sense of Ownership of “Our Philosophy” at the Grade-Specific Training